Sydney

Arena divests five property assets for AUD249.3 million

​On behalf of Arena Investment Management (“Arena”), JLL is pleased to announce the sale of five property assets to Anton Capital for a combined net price of AUD249.3 million before fees.

Arena, as responsible entity of the Arena Property Fund (APF) and Arena Office Fund (AOF), has exchanged contracts with Anton Capital to divest five assets comprising:

Victoria Police Centre in Melbourne (AOF);

1-3 Smail Street, Ultimo in Sydney (APF);

235 Pyrmont Street, Pyrmont in Sydney (AOF);

Customs House in Fremantle (APF); and

Eden Business Park in Auckland (AOF).

Settlement of the properties is scheduled for late January 2015.

Commenting on the sale, David Ross, Chairman of Arena, said “the sale of the residual direct property assets in APF and AOF will be the culmination of a 3 year turnaround program implemented by Arena that has delivered strong returns to investors within both the Arena Property Fund and Arena Office Fund, and which will lead to a full liquidity event in accordance with the December 2011 strategy plan."

JLL acted as exclusive Corporate Advisers to Arena and undertook an international Expressions of Interest campaign that covered a range of alternative transaction structures in order to identify the optimal liquidity outcome to Arena’s investors in both AOF and APF. JLL marketed the assets for sale individually, as a portfolio, the opportunity to recapitalise the Arena funds, and the potential to also acquire Arena’s investment management platform.

JLL received strong interest from prospective domestic and international purchasers across each of the alternative structures. Chris Key, Head of Corporate Finance - Australia said “JLL had a unique ability to provide Arena with an integrated solution across both direct property and corporate transactions, leveraging the capability and expertise of both our Corporate Finance and Capital Markets teams. This depth of capability allowed Arena to explore multiple transaction options and ensure APF and AOF were each positioned to provide investors with the optimal liquidity outcome."

Anton Capital acted on behalf of one of its global institutional clients in the transaction. Anton Capital is an investment and advisory group specialising in private equity and special-situation investing opportunities. In conjunction with select capital partners, Anton Capital has developed an impressive track record in securing strategic investments, with an ongoing investment appetite through active capital partnerships.